Polaris stock jumps after selling majority stake in Indian Motorcycle

Published 13/10/2025, 21:16
© Reuters.

Investing.com -- Polaris Inc. (NYSE:PII) stock jumped 9% in after-hours trading Monday following the company’s announcement that it will sell a majority stake in its Indian Motorcycle business to private equity firm Carolwood LP.

The transaction, expected to close in the first quarter of 2026, is projected to be accretive to Polaris’ annualized adjusted EBITDA by approximately $50 million and boost adjusted earnings per share by about $1.00. Polaris will maintain a small equity position in Indian Motorcycle after the deal closes.

Indian Motorcycle contributed approximately $478 million, or 7% of Polaris’ revenues for the trailing twelve-month period ended June 30, 2025. The deal will transfer about 900 employees to the new standalone business, along with manufacturing facilities in Spirit Lake, Iowa, and Monticello, Minnesota, as well as the design center in Switzerland.

"For Polaris, the sale will further strengthen our focus on the areas of our portfolio that offer the strongest growth potential and allow us to accelerate investments in key initiatives," said Polaris CEO Mike Speetzen. "It also will unlock greater long-term value for Polaris and our shareholders."

Carolwood has selected Mike Kennedy, a 30-year motorcycle industry veteran, to serve as CEO of the independent Indian Motorcycle organization once the deal closes. Kennedy previously served as CEO of RumbleOn and Vance & Hines, and spent 26 years at Harley-Davidson.

Polaris also provided preliminary third-quarter results, expecting sales to be at the high end of its previously issued guidance range of $1.6 billion to $1.8 billion. The company anticipates third-quarter adjusted EPS in the range of $0.31 to $0.41, "meaningfully higher" than original expectations, driven by higher shipments, cost management, and progress in operational efficiency initiatives.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.